B-3-2 Delegated Procurement Policy for Departments

I. Purpose

All University departments are delegated limited procurement authority for ordering goods and services. Departments should use price contracts established by Procurement Services and may order directly from these vendors.   

II. Policy

Delegated purchases should be made with the University of Kentucky procurement card except for certain merchant and commodity categories listed herein. These exceptions may be purchased with the Payment Request Document (PRD) form within categories specified, or by processing an on-line requisition/shopping cart to Procurement Services for requirements that are not authorized by either process. The Purchasing/AP Quick Reference Guide can be referenced to determine the correct purchase method. See E-7-15 Disbursement Request for exceptions to this policy.

III.   Responsibilities

Prompt payment for purchases will ultimately result in better vendor relations, improved service and lower prices. Some purchases require an electronic goods receipt,  which should be completed promptly upon satisfactory completion of the order or upon receipt of a scheduled partial delivery.  

Requests for payment must be properly documented, including a complete detailed description of the purchase and detailed original receipts and/or invoices.

1. Payment for Delegated Purchases

   The procurement card or the Payment Request Document (PRD) is the method to be used to request approval and to authorize payment by University Financial Services for delegated purchases made in accordance with BPM section B-3-2 Delegated Procurement Policy for Departments. See BPM section B-3-2-1 for Procurement Card Authorization and Limits and Section B-3-2-2 for Payment Request Document (PRD) procedure. Policies and procedures related to specific items such as honoraria, recruitment, and meals can be found in  BPM section E-7 Disbursements.

   The department head or administrative officer authorizing a purchase or expenditure under the Delegated Procurement Authority is responsible for assuring funds are available for payment of all obligations made under this authority. 

   The responsible administrative unit will refer to Procurement Services any questionable matter relating to delegated procurements, nature of the transaction, expenditure amount, interpretation of the delegated authority or any other issue that needs additional clarification or approval. 

2. Personal Services completed by University Employees

   Personal Services may not be performed by University employees except under unique circumstances. In those instances where University employees are allowed to perform certain services, payments must be made in accordance with University Administrative Regulations and established payroll policies and procedures. An employee must be paid for personal services rendered to any department of the University, except for participation in research projects, through the regular payroll procedure and by use of the Payroll Authorization Record (PAR). Employees functioning as research subjects are paid in accordance with E-9 Compensation to Research Subjects.

3. Employee Travel Expenses

   Reimbursement may be made for travel expenses in accordance with policies and procedures established in BPM section E-5-1 Reimbursement of Travel Expenses. Payment for a travel advance may be made in accordance with BPM Procedure Section E-5-2, Travel Advances and Repayments. 

4. Employee Reimbursement

   Any use of personal funds with subsequent reimbursement is highly discouraged.  The procurement card is the preferred method for making non-contract small purchases and should be considered the primary method for delegated purchases.

   However, an employee may make a purchase from personal funds and request reimbursement via a shopping cart/requisition or PRD only for an occasional purchase where it was not feasible or practical to make the purchase with a procurement card or on a Purchase Order. No reimbursement will be made to individuals for purchase of alcoholic beverages in violation of Administrative Regulation 6:4, University Alcohol Policy. If employee is in travel mode, they must follow the travel expenses policies as listed above.

   All employees requesting reimbursement must fill out the Request for Employee Reimbursement and Invoice Form (Other than Travel Expenses). The form must be signed by the employee and approving official and attached to the PRD as part of the documentation, which also includes original itemized receipts. When a reimbursement is processed via shopping cart/requisition, the form and original itemized receipts must be submitted with the Vendor Invoice and Credit Memo Transmittal form to APPOinvoices@uky.edu.    

5. The University of Kentucky is to remit payment to vendors 30 days from receipt of goods. All invoices should be turned in to the appointed administrative personnel within five (5) days of receipt of goods to ensure timely payment.